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In the theory of organisational learning, [4] routines serve as a sort of memory, especially of uncodified, tacit knowledge. In strategic management, especially in the resource-based view of firms, organisational routines form the microfoundations of organisational capabilities [5] and dynamic capabilities. [6]
Organizational learning is a process improvement that can increase efficiency, accuracy, and profits. A real-world example of organizational learning is how a new pizza store will reduce the cost per pizza as the cumulative production of pizzas increases. [1]
Numerous outcomes have been associated either directly or indirectly with organizational culture. The relationships between organizational culture and various outcomes include organizational performance, employee commitment, and innovation. A healthy and robust organizational culture is thought to offer various benefits, including: [56] [57]
However, major and rapid organizational change is profoundly difficult because the structure, culture, and routines of organizations often reflect a persistent and difficult-to-remove "imprint" of past periods, which are resistant to radical change even as the current environment of the organization changes rapidly.
Complexity theory emphasizes interactions and the accompanying feedback loops that constantly change systems. While it proposes that systems are unpredictable, they are also constrained by order-generating rules. [6]: 74 Complexity theory has been used in the fields of strategic management and organizational studies.
The Fifth Discipline: The Art and Practice of the Learning Organization is a book by Peter Senge (a senior lecturer at MIT) focusing on group problem solving using the systems thinking method in order to convert companies into learning organizations that learn to create results that matter as an organization.
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Anthropology has become increasingly influential, and led to the idea that one can understand firms as communities, by introducing concepts such as organizational culture, organizational rituals, and symbolic acts. [1] Leadership studies have also become part of Organizational behavior, although a single unifying theory remains elusive.